Section 1 [Public Employee Participation.] Currently, each exclusive representative determines whether the employees it represents will participate in PEIP. This section provides that a decision to participate in PEIP will be made as follows:
(1) the eligible employee and the exclusive representative agree to the change; and
(2) a majority of all insurance eligible employees in the appropriate bargaining unit approve the change.
This section also requires that either all or none of the insurance eligible employees of the appropriate bargaining unit for the local unit of government must participate in the program. In addition, this section reduces automatic renewal in PEIP to a one-year term, unless 30 days’ notice is given before the end of the participation period. This section requires the PEIP program to provide each enrolled entity with the entity’s monthly claims data when requested.
Section 2 [Coordination.] specifies that a local unit of government allowing a retired employee to continue health insurance coverage within the plan offered by the local unit of government must provide coverage that is coordinated with Medicare benefits.